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So it appears that a government is finally going to be formed in Iraq, after eight agonizing months of politicking.

As usual, Iraqi politicos waited until the 11th hour and a bit beyond to reach a deal, but that they finally managed to bridge their differences is a hopeful sign for that troubled country’s future as an emerging democracy….

Painful as this government-formation process was, the good news is that Iraq hasn’t gone to pieces. There have been occasional, horrific terrorist acts, but overall violence has remained low. Economic development has continued, with the Wall Street Journalreporting today on how Basra has become an oil boomtown. Expect even greater oil riches to be tapped once the new government takes office and ensures some political stability.

That Iraq has continued to inch forward despite the paralysis of its politicos is a tribute to the good sense of the Iraqi people and to the growing competency of the Iraqi security forces — supported, lest we forget, by 50,000 U.S. troops who still remain. The Obama administration also deserves some props for finally getting down to business in Baghdad with a new ambassador focused on forming a government, eschewing the more hands-off posture of his predecessor.

The first order of business now is to ensure that the gains Iraq has made don’t evaporate in the future. That means negotiating a new U.S.-Iraqi security accord that will allow U.S. troops to remain post-2011 to train the Iraqi security forces and to act implicitly as a peacekeeping force to ensure that tensions don’t boil over into renewed violence.